Singapore eyes new talent, R&D strategy amid demographic changes in Asia

Singapore needs to groom talent, plan ahead, and invest in strategic technologies and services to quickly adjust to the demographic trends shaping economies in Asia, according to the city state’s finance minister.

“Technological changes will be very significant in this part of the world,” Heng Swee Keat, the country’s Minister of Finance, said on Tuesday at the 30th anniversary global conference of Vertex Ventures – the venture capital arm of Singapore government-owned investment company Temasek Holdings.

“We need to have a better understanding of the rising middle class and the demographic changes that are taking place,” said Heng, who is often touted as one of the potential successors to Lee Hsien Loong as the country’s prime minister.

He said Singapore must have a “longer term view” to invest and prepare for changes that may take place beyond the next five to 10 years. He cited Asia’s changing demographics, such as the ageing population in some markets and younger people in others, as the catalyst to put more resources into areas like health care and education.

His comments have come amid the escalating trade war between Asian neighbour China and the United States. Beyond having an impact on imports and exports, tensions between the world’s two largest economies also affect the flow of investments and human capital around the world.